Ethereum Under Pressure: Analyst Warns of a Potential Drop as ETH Is ‘Looking Weak’
TL;DR
Ethereum (ETH) is currently trading at around $2,300, facing potential downward pressure. Analysts warn of a possible drop to the $2,200-$2,250 support zone before a rebound may occur.
Key points
- Ethereum currently trades at around $2,300
- Analysts warn of a potential drop to $2,200-$2,250
- ETH has been rejected from the $2,400 resistance zone
Earlier this month, it seemed like Ethereum (ETH) was on its way to reclaim $2,500, but the bears intercepted the move.
Currently, the asset trades at around $2,300, and some analysts believe a more substantial correction could be knocking on the door. On the other hand, certain on-chain indicators suggest that the bulls might regain control in the near future.
Plunge on the Way?
According to X user Ted, the asset is “looking weak” right now. He claimed that Bitcoin has reclaimed its key level, while the second-largest cryptocurrency keeps getting rejected from the $2,400 resistance zone.
The analyst added that the major support zone for ETH is around $2,200-$2,250 and claimed that a drop to that range won’t be a surprise before a rebound forms.
Prior to that, Ted has been paying attention to the asset’s sideways movement lately. He predicted that this week would be “very crucial” for the market, citing uncertainty surrounding the ongoing peace talks between the USA and Iran.
“If Ethereum manages to reclaim the $2,400 level, it’ll tap the $2,470-$2,500 liquidity. And if it loses the $2,300 zone, a retest of the $2,150-$2,200 support level will happen quickly,” he stated.
Crypto Tony – a popular trader with almost 600,000 followers on X – also weighed in, saying they await a plunge to the support level of around $2,290, which could offer the opportunity for opening a possible long position.
The Indicators Point in a Different Direction
Contrary to the aforementioned skepticism, several metrics suggest that ETH could be on the verge of a price rally. First on the list is the Relative Strength Index (RSI), which has dropped to 30. This means that the asset has entered oversold territory and could be due for an upward move.
Q&A
What is the current price of Ethereum (ETH)?
Ethereum is currently trading at approximately $2,300.
What support level is critical for Ethereum according to analysts?
Analysts indicate that the major support zone for Ethereum is between $2,200 and $2,250.
Why are analysts concerned about a potential drop in Ethereum's price?
Analysts are concerned because Ethereum has been rejected from the $2,400 resistance zone, indicating weakness in its price movement.
